Core Viewpoint - Western Digital (WDC) is positioned as a strong investment opportunity due to a significant revision in earnings estimates, indicating an improving earnings outlook [1][9]. Earnings Estimate Revisions - The trend of rising estimate revisions reflects growing analyst optimism regarding Western Digital's earnings prospects, which is expected to positively influence its stock price [2]. - For the current quarter, Western Digital is projected to earn $1.57 per share, representing a year-over-year decline of 11.8%. However, the Zacks Consensus Estimate has increased by 13.02% over the last 30 days, with three estimates raised and no negative revisions [6]. - For the full year, the earnings estimate stands at $6.50 per share, showing a year-over-year increase of 31.9%. Over the past month, five estimates have been revised upward, with no negative revisions [7]. Zacks Rank and Performance - Western Digital currently holds a Zacks Rank 1 (Strong Buy), indicating strong agreement among analysts in raising earnings estimates, which historically correlates with stock performance [3][8]. - Stocks with a Zacks Rank 1 and 2 have demonstrated significant outperformance compared to the S&P 500, with Zacks 1 stocks averaging a 25% annual return since 2008 [3][8]. Recent Stock Performance - The stock has appreciated by 18.5% over the past four weeks, driven by strong estimate revisions, suggesting potential for further upside [9].

Core Viewpoint - The real challenge in the AI industry is not the advancement of AI models but the realization of large-scale implementation, as stated by Lenovo's CEO during the 2025 World Artificial Intelligence Conference (WAIC) [1][3]. Group 1: Industry Challenges - The industry faces two main bottlenecks: insufficient data governance efficiency, with over 60% of enterprises struggling to effectively train models due to data quality issues, and high ecological collaboration barriers caused by technological silos [3]. - The strategic value of data is increasingly recognized, with storage capacity and throughput speed being less significant than the ability to dynamically empower data [3][4]. Group 2: Ecosystem Collaboration - The shift from closed technology development systems to open collaboration is becoming the new standard, necessitating the breaking of traditional boundaries [4]. - Lenovo is committed to an ecological path, integrating chip, system, and application layer partnerships to provide comprehensive AI solutions and accelerate the application of AI in various scenarios [4]. Group 3: Development Strategy - Lenovo has established a three-dimensional development strategy: 1. **Foundation Building**: Balancing global technology and local innovation through a dual-track approach, integrating global innovations while responding to domestic core needs [5]. 2. **Co-creation**: Developing a deep vertical industry collaboration network to transform smart infrastructure capabilities into scenario-based solutions [5]. 3. **Win-win**: Addressing social concerns through technological innovation, such as reducing energy consumption and ensuring data security [5]. Group 4: AI's Value Proposition - The true value of AI lies not in replacing human labor but in awakening the potential of every piece of data, with Lenovo positioning itself as a cultivator in this field [6].

Core Insights - Seagate (NASDAQ: STX) is experiencing a resurgence in customer demand, with quarterly revenue increasing by 30% [1] - The company's profit margins have reached a historic high, indicating strong operational efficiency [1] - Seagate's shares are currently trading at approximately 15 times profit, which is significantly lower than their historical average [1] Financial Performance - Revenue for the quarter rose by 30% compared to previous periods [1] - Margins have achieved a historic high, reflecting improved profitability [1] - Current share trading multiples are around 15x profit, suggesting potential undervaluation [1]

Core Viewpoint - Iron Mountain (IRM) is expected to report significant growth in quarterly earnings and revenues, with earnings per share projected at $1.19, a 183.3% increase year-over-year, and revenues forecasted at $1.68 billion, reflecting a 9.3% increase compared to the previous year [1]. Earnings Estimates - The consensus EPS estimate for the quarter has remained unchanged over the past 30 days, indicating analysts have not revised their projections [2]. - Changes in earnings estimates are crucial for predicting investor reactions, as empirical research shows a strong correlation between earnings estimate revisions and short-term stock performance [3]. Revenue Projections - Analysts estimate 'Revenues- Storage Rental Revenue' to be $990.44 million, indicating a year-over-year increase of 7.7% [4]. - 'Revenues- Service Revenue' is expected to reach $685.41 million, reflecting an 11.5% increase from the same quarter last year [5]. - The 'Global Data Center Business- Total Revenues' is projected at $189.73 million, a 24.3% year-over-year increase, while 'Global Data Center Business- Storage Rental' is expected to be $187.35 million, showing a 27.1% increase [5]. - 'Global Data Center Business- Service' is forecasted to decline to $3.52 million, a decrease of 33.7% year-over-year [5]. Additional Revenue Insights - 'Corporate and Other- Total Revenues' is estimated at $174.64 million, suggesting a 33.2% increase year-over-year [6]. - 'Global RIM Business- Service' is projected to reach $522.28 million, reflecting a 5.7% increase from the previous year [6]. - 'Global RIM Business- Total Revenue' is expected to be $1.32 billion, indicating a 5.6% increase year-over-year [6]. - 'Corporate and Other- Service' is estimated at $159.30 million, a 38.4% increase from the prior year [7]. - 'Global RIM Business- Storage Rental' is projected to be $798.52 million, reflecting a 5.6% increase year-over-year [7]. - 'Corporate and Other- Storage Rental' is expected to reach $17.18 million, indicating a 7.4% increase from the previous year [8]. EBITDA Projections - The 'Global Data Center Business- Adjusted EBITDA' is projected to be $94.15 million, compared to $66.02 million reported in the same quarter last year [8]. Stock Performance - Over the past month, Iron Mountain shares have decreased by 3.3%, while the Zacks S&P 500 composite has increased by 2.3%. The company holds a Zacks Rank 2 (Buy), suggesting it is likely to outperform the overall market in the upcoming period [8].

About Data Storage Corporation Data Storage Corporation (Nasdaq: DTST), through its subsidiaries, is focused on providing solutions that ensure business continuity, improvement in business processes, and efficiency, while striving to build shareholder value. For more information, please visit www.dtst.com or follow us on X @DataStorageCorp. MELVILLE, N.Y., July 31, 2025 (GLOBE NEWSWIRE) -- Data Storage Corporation (Nasdaq: DTST) ("DSC" and the "Company"), today announced plans to host a conference call at 1 ...

Core Viewpoint - Western Digital has refocused on mechanical hard drives after the spin-off of its flash memory business, SanDisk, and reported strong financial performance for FY2025, indicating significant growth and confidence in its long-term cash generation capabilities [1][3]. Financial Performance - For FY2025, Western Digital achieved revenue of $9.52 billion (approximately ¥68.515 billion), a 51% increase compared to FY2024's revenue of $6.317 billion (excluding flash memory) [1]. - In Q4 FY2025, the company reported revenue of $2.605 billion (approximately ¥18.748 billion), representing a 30% year-over-year growth and a 14% quarter-over-quarter increase [3]. - The GAAP gross margin for FY2025 was 38.8%, with operating income of $2.334 billion, while the Non-GAAP gross margin was 39.4% with operating income of $2.336 billion [1]. - For Q4 FY2025, the GAAP gross margin was 41.0% with operating income of $680 million, and the Non-GAAP gross margin was 41.3% with operating income of $732 million [3]. Future Outlook - Western Digital expects revenue for Q1 FY2026 to be approximately $2.7 billion (around ¥19.432 billion), which would represent a year-over-year growth of about 22%, with a projected Non-GAAP gross margin of approximately 41.5% [3]. - The CEO expressed confidence in the company's long-term cash generation ability, highlighting the importance of mechanical hard drives in the global data infrastructure, especially in an AI-driven future [3].

Financial Data and Key Metrics Changes - For the fiscal fourth quarter, the company reported revenue of $2.6 billion, a 30% year-over-year increase, and non-GAAP earnings per share of $1.66, which was above the high end of the guidance range [11][15] - Non-GAAP gross margin was 41.3%, improving by 60 basis points year-over-year, reflecting a shift towards higher capacity drives and effective cost control [16][17] - Free cash flow for the quarter was $675 million, with operating cash flow at $746 million and capital expenditures of $71 million [19] Business Line Data and Key Metrics Changes - The cloud segment represented 90% of total revenue at $2.3 billion, up 36% year-over-year, driven by strong demand for higher capacity nearline products [16] - Client revenue accounted for 5% of total revenue at $140 million, up 2% year-over-year, while consumer revenue also represented 5% at $136 million, down 12% year-over-year [16] Market Data and Key Metrics Changes - Shipments of the latest generation ePMR drives with capacities up to 26 terabytes CMR and 32 terabytes Ultra SMR more than doubled quarter-over-quarter, exceeding 1.7 million units [8][11] - The company has firm purchase orders or long-term agreements with all top five hyperscale customers for the entire fiscal year 2026, indicating strong demand [11][12] Company Strategy and Development Direction - The company is focusing on operational execution, capital return programs, and leveraging AI-driven data growth to enhance storage solutions [6][10] - The transition to higher capacity drives and the development of HAMR technology are central to the company's strategy, with expectations for continued revenue growth driven by data center demand [9][20] Management's Comments on Operating Environment and Future Outlook - Management noted that while the broader environment remains uncertain due to tariffs, strong demand driven by AI is expected to continue [11][12] - For fiscal year 2026, the company anticipates revenue growth of approximately 22% year-over-year, with gross margin expected between 41% and 42% [20][21] Other Important Information - The company initiated a quarterly cash dividend program and authorized a $2 billion share repurchase program, repurchasing nearly $150 million worth of shares in the fourth quarter [11][19] - The balance sheet was strengthened with a reduction of $2.6 billion in debt, achieving a net leverage target of 1 to 1.5 times [11][18] Q&A Session Summary Question: Can you help us understand the gross margin guidance for September? - Management indicated that gross margin expansion is expected to slow due to various factors, including pricing stability and a favorable mix shift towards higher capacity drives [26][30] Question: How should investors think about share repurchase activity going forward? - Management expressed confidence in continuing to return cash to shareholders through dividends and share repurchases, with room for growth in the dividend program [34][37] Question: What is the ASP per terabyte for the last quarter? - Management noted that ASP per terabyte was down in low single digits, primarily due to mix, while ASPs per drive continue to rise with higher capacity drives [39][70] Question: How does the extra week in the quarter affect revenue and OpEx? - Management clarified that the extra week would add approximately $15 million in OpEx, but revenue impact would be minimal as customers operate on quarterly forecasts [75][76] Question: What is the outlook for AI's impact on growth? - Management highlighted that AI is expected to provide a significant uplift in exabyte growth, potentially increasing revenue growth from mid to high single digits to mid-teens [78][80]

Financial Data and Key Metrics Changes - For the fiscal fourth quarter, the company reported revenue of $2.6 billion, a 30% increase year-over-year, and non-GAAP earnings per share of $1.66, which was above the high end of the guidance range [11][15] - Non-GAAP gross margin was 41.3%, improving by 60 basis points year-over-year, reflecting a shift towards higher capacity drives and effective cost control [17][18] - Free cash flow for the quarter was $675 million, with operating cash flow at $746 million and capital expenditures of $71 million [20] Business Line Data and Key Metrics Changes - Cloud business represented 90% of total revenue at $2.3 billion, up 36% year-over-year, driven by strong demand for higher capacity nearline products [16] - Client business accounted for 5% of total revenue at $140 million, up 2% year-over-year, while consumer revenue also represented 5% at $136 million, down 12% year-over-year [17] Market Data and Key Metrics Changes - Shipments of the latest generation ePMR drives with capacities up to 26 terabytes CMR and 32 terabytes Ultra SMR more than doubled quarter-over-quarter, exceeding 1.7 million units [7][10] - The company has secured firm purchase orders or long-term agreements with all top five hyperscale customers for the entire fiscal year 2026, indicating strong demand [12][45] Company Strategy and Development Direction - The company is focusing on operational execution, capital return programs, and leveraging AI-driven data growth to enhance storage solutions [5][15] - The transition to next-generation HAMR technology is on track, with expectations for ramp-up in 2027, while the next generation of ePMR drives will complete qualification in 2026 [9][88] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in continued revenue growth driven by data center demand and improved profitability from high-capacity drives [12][21] - The company anticipates revenue for fiscal year 2026 to be approximately $2.7 billion, reflecting a year-over-year growth of about 22% [21] Other Important Information - The company initiated a quarterly cash dividend program and authorized a $2 billion share repurchase program, repurchasing nearly $150 million worth of shares in the fourth quarter [12][20] - The effective tax rate for the quarter was 9.3%, and diluted share count was approximately 362 million shares [18] Q&A Session Summary Question: Gross margin guidance for September - Management indicated that gross margin expansion is expected to slow due to various factors, including pricing stability and a favorable mix shift towards higher capacity drives [28][31] Question: Share repurchase activity and cash management - The company plans to continue returning cash to shareholders through dividends and share repurchases, with strong free cash flow generation supporting these initiatives [34][36] Question: ASP and non-HDD revenue - ASP per terabyte was down in low single digits, primarily due to mix, while the overall pricing environment remains stable [38][72] Question: Seasonality in the business - Management noted that traditional seasonality may not apply anymore due to the structural changes in the business, with strong demand from hyperscale customers driving revenue [42][46] Question: Adoption of Ultra SMR technology - The company has completed qualifications for Ultra SMR with multiple hyperscale customers, indicating a positive adoption curve [57] Question: Impact of tariffs and enterprise demand - Management has not seen material impacts from tariffs and noted that any potential softness in enterprise demand would be offset by cloud demand [66][68] Question: Hard drive ASPs and market capacity - The company emphasized that their ability to produce higher capacity drives at scale differentiates them in the market, and they do not foresee needing incremental investments into capacity [75]

Financial Performance - Q4FY25 revenue reached $2.6 billion[5], a 30% increase year-over-year[13] and a 14% increase quarter-over-quarter[13] - Non-GAAP EPS for Q4FY25 was $1.66[5], a 22% increase quarter-over-quarter[13] - Non-GAAP gross margin for Q4FY25 was 41.3%[5], a 610 bps increase year-over-year[13] - Cash flow from operations was $746 million[5], a 104% increase year-over-year[13] - Free cash flow was $675 million[5], a 139% increase year-over-year[13] Capital Allocation - Total debt was reduced by $2.6 billion[5] - A new $2.0 billion share repurchase program was authorized, with $149 million of shares repurchased[5] - A cash dividend of $0.10 per share was initiated[5] Business Segments - Cloud revenue accounted for 90% of total revenue in Q4FY25[7] Q1FY26 Guidance (Non-GAAP) - Revenue is expected to be $2.70 billion, with a variance of +/- $100 million[14] - Gross margin is projected to be between 41% and 42%[14] - EPS is expected to be $1.54, with a variance of +/- $0.15[14]

Core Insights - Seagate reported a revenue of $9.097 billion for the fiscal year ending June 27, 2025, representing a year-over-year growth of 38.86% compared to $6.551 billion in 2024 [1] - The GAAP gross margin and operating margin for the fiscal year reached 35.2% and 20.8%, respectively, reflecting an increase of 11.8 and 13.9 percentage points [1] - In the fourth fiscal quarter of 2025, Seagate's revenue was $2.444 billion, a year-over-year increase of 29.52% [1] Financial Performance - Seagate's total revenue for the fiscal year was $9.097 billion, up from $6.551 billion in the previous year, marking a significant growth [1] - The fourth fiscal quarter revenue was $2.444 billion, showing strong performance compared to the same quarter last year [1] - The company achieved record gross margins and non-GAAP earnings per share at the upper end of guidance [5] Product and Technology Development - In the fourth fiscal quarter, Seagate shipped a total hard drive capacity of 162EB, with a quarter-over-quarter growth of 13% [3] - The average capacity per drive reached 13TB, reflecting a 3% increase from the previous quarter [3] - Seagate is advancing its next-generation HAMR technology platform, Mozaic 4+, which aims for a single drive capacity of 44TB, with initial production planned for the second half of 2026 [3] Market Demand and Strategy - The strong performance in the fourth quarter highlights Seagate's commitment to profit growth, driven by structural improvements and sustained demand for high-capacity drives from cloud customers [5] - The company is focused on meeting the growing data storage needs in cloud and edge computing scenarios through its high-density HAMR technology [5] - Seagate expresses confidence in its ability to create long-term value for customers and shareholders [5]